Tata Teleservices, a part of Tata Group of Companies, has announced to invest $2 billion to initiate GSM-based mobile services in India. As revealed by managing director of Tata Teleservices-Anil Sardana, the company will put in $2 billion for establishing countrywide services on GSM network over the next two years. By the end of 2008, the company, which presently offers services in CDMA, is planning to launch services in the GSM space. 

 

In addition, the company is also likely to expand in the value-added services (VAS) space with the initiation of 3G services in the nation next year. Tata Teleservices president-VAS Pankaj Sethi said that the VAS contributes about 12 percent of the revenue in the mobile segment of the company. Moreover, developing new platforms will help to retain old and attract new customers. However pricing is a challenge in VAS, the company still hopes to make out better revenue with the launch of 3G services.